The Clorox Company (NYSE:CLX) Receives Average Recommendation of "Reduce" from Brokerages

Key Points

• Clorox has an average “Reduce” rating from 17 analysts: five recommend selling and 12 recommend holding. The average 12-month price target is $102.40, below the reported share price of $107.20.
• The company beat quarterly expectations with $1.66 in adjusted EPS versus the $1.64 consensus and $1.95 billion in revenue, though revenue declined 2% year over year and EPS fell from $2.87.
• Clorox raised its quarterly dividend to $1.25 per share, equivalent to a 4.7% annualized yield, but its payout ratio is high at 103.73%.

The Clorox Company (NYSE:CLX - Get Free Report) has earned an average rating of "Reduce" from the seventeen ratings firms that are presently covering the stock, MarketBeat reports. Five research analysts have rated the stock with a sell recommendation and twelve have issued a hold recommendation on the company. The average twelve-month price objective among analysts that have covered the stock in the last year is $102.40.

CLX has been the subject of several analyst reports. JPMorgan Chase & Co. increased their target price on shares of Clorox from $92.00 to $95.00 and gave the stock an "underweight" rating in a report on Tuesday, August 4th. The Goldman Sachs Group reaffirmed a "sell" rating and issued a $83.00 target price on shares of Clorox in a report on Friday, May 1st. UBS Group upped their price target on shares of Clorox from $100.00 to $105.00 and gave the company a "neutral" rating in a research note on Tuesday, August 4th. Deutsche Bank Aktiengesellschaft set a $98.00 price objective on Clorox in a research note on Tuesday, August 4th. Finally, Barclays reaffirmed an "underweight" rating and set a $84.00 price target on shares of Clorox in a research note on Tuesday, August 4th.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. California State Teachers Retirement System grew its holdings in Clorox by 7,435.1% during the 2nd quarter. California State Teachers Retirement System now owns 13,697,835 shares of the company's stock worth $1,307,321,000 after acquiring an additional 13,516,047 shares in the last quarter. Studio Investment Management LLC increased its position in Clorox by 21.5% during the 2nd quarter. Studio Investment Management LLC now owns 7,910 shares of the company's stock valued at $755,000 after buying an additional 1,401 shares in the last quarter. Saudi Central Bank grew its stake in shares of Clorox by 88.0% during the second quarter. Saudi Central Bank now owns 8,464 shares of the company's stock worth $808,000 after acquiring an additional 3,962 shares during the last quarter. AlphaGrep UK Ltd purchased a new stake in shares of Clorox during the second quarter worth about $344,000. Finally, Maloon Powers Pitre Higgins & Dennehy LLC acquired a new position in Clorox during the 2nd quarter valued at approximately $213,000. Institutional investors own 78.53% of the company's stock.

Clorox Trading Up 0.5%

Shares of CLX stock opened at $107.20 on Tuesday. The company has a debt-to-equity ratio of 15.80, a current ratio of 0.66 and a quick ratio of 0.38. The company has a market cap of $12.96 billion, a price-to-earnings ratio of 22.24, a PEG ratio of 3.34 and a beta of 0.54. Clorox has a 1 year low of $84.70 and a 1 year high of $128.90. The firm has a fifty day moving average price of $99.20 and a 200-day moving average price of $103.01.

Clorox (NYSE:CLX - Get Free Report) last announced its earnings results on Monday, August 3rd. The company reported $1.66 EPS for the quarter, topping analysts' consensus estimates of $1.64 by $0.02. Clorox had a return on equity of 522.23% and a net margin of 8.74%.The company had revenue of $1.95 billion for the quarter, compared to analysts' expectations of $1.91 billion. During the same period last year, the firm earned $2.87 EPS. Clorox's revenue for the quarter was down 2.0% compared to the same quarter last year. Clorox has set its FY 2027 guidance at 5.700-6.000 EPS. As a group, equities analysts predict that Clorox will post 5.8 earnings per share for the current year.

Clorox Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Stockholders of record on Wednesday, August 12th will be paid a dividend of $1.25 per share. This is an increase from Clorox's previous quarterly dividend of $1.24. This represents a $5.00 dividend on an annualized basis and a dividend yield of 4.7%. The ex-dividend date of this dividend is Wednesday, August 12th. Clorox's payout ratio is presently 103.73%.

Clorox Company Profile

The Clorox Company is a leading manufacturer and marketer of consumer and professional products designed to help people care for their homes and live healthy, sustainable lives. Its portfolio spans cleaning and household products, food and beverages, water filtration systems and cat litter, serving both retail and institutional customers. The company's flagship bleach and disinfecting products are well known in the United States and many international markets, where they help prevent the spread of germs in homes, hospitals, schools and businesses.

Clorox's diverse brand lineup includes liquid bleach and surface cleaners, eco-friendly cleaning tools, food preservation and preparation items, charcoal grills and briquettes, specialty foods and beverages, pet care products and personal care lines.

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